Financing Climate Action by the ESIF
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1 Financing by the ESIF Presented by Dina Silina, European Commission, DG EUSBSR Annual Forum Stockholm, 8 November 2016
2 Key observed and projected climate change and impacts for the main regions in Europe impacts do not affect countries in a homogenous way EEA Report: No 12/2016 The diversity of vulnerability and adaptive capacities of different countries and regions impact EU territorial development and cohesion ESIF an important policy and financial instrument to address these challenges
3 Some of the adverse impacts of climate change in Europe
4 Mainstreaming climate action into ESIF Europe 2020 Strategy for smart, sustainable, inclusive growth; 2030 & Energy Framework (extended targets 40%-27%-27%) EU Budget : at least 20% climate-related expenditure; European Structural and Investment Funds (ESIF): - European Regional Development Fund (ERDF) - Cohesion Fund (CF) - European Social Fund (ESF) - European Agricultural Fund for Rural Development (EAFRD) - European Maritime and Fisheries Fund (EMFF) - European Territorial Cooperation (ETC) - Major Projects Mainstreaming: Legislative package for ESIF (ERDF, ESF, CF, EAFRD, EMFF); Programming: 28 Partnership Agreements, 533 programmes national, regional, territorial cooperation, rural, fisheries, maritime. ERDF and ESF eligibility for period: 4
5 Priorities and thematic concentration inclusive sustainable smart 1. Research and innovation 2. Information and Communication Technologies 3. Competitiveness of Small and Medium-Sized Enterprises (SME) 4. Shift to a low-carbon economy 5. change adaptation and risk management and prevention 6. Environmental protection and resource efficiency 7. Promoting sustainable transport and removing bottlenecks in key network infrastructure 8. Employment and support for labour mobility 9. Social inclusion and poverty reduction 10. Education, skills and lifelong learning 11. Increased institutional capacity and effectiveness of public administration
6 Change themes in Partnership Agreements action most frequently covered explicitly for ERDF, CF and EAFRD action always referred to (results, actions, priorities) in TO4, TO5 and TO6 Around half of Partnership Agreements refer to climate action under TO1, TO3 and TO7 In around 30% of the Partnership Agreements, climate action is referred to for TO8, TO9 and TO10 Few Partnership Agreements refer to climate action under TO2 and TO11 Examples of mitigation themes Energy supply (production, storage, distribution) Energy efficiency (buildings, enterprises, agriculture, (transport) Carbon emissions reductions (carbon sequestration, soil & manure handling Urban development, planning and mobility) Examples of adaptation themes Location specific risks (droughts, water scarcity, flooding, forest fires, extreme heat, coastal and soil erosion, sea level rise) Natura 2000 and biodiversity protection Forestry (management, afforestation, deforestation, crops) Urban and rural spatial planning and infrastructure Ecosystem approaches Water management themes Technical and HR capacity for preparedness and response 6
7 Mainstreaming outcomes ESIF climate support European Structural and Investment Funds ESIF: change-related actions: amount ( billion) share [%] European Regional Development Fund - ERDF % Cohesion Fund - CF % European Social Fund - ESF % European Maritime and Fisheries Fund - EMFF % European Agricultural Fund for Rural Development - EAFRD % TOTAL ESIF billion 25.21% of ESIF Based on OPs categories of intervention data (following the common methodology in Commission Implementing Regulation No 215/2014)
8 Support for climate change-related actions Preliminary results from ongoing analysis European Regional Development Fund (ERDF) 37.7 billion 19.20% Cohesion Fund (CF) 17.6 billion 27.70% European Territorial Cooperation (ETC) 1.89 million 20.60% National/regional OPs: European territorial cooperation OPs: Based on a study for the European Commission and OPs categories of intervention data (following the methodology in Commission Implementing Regulation No 215/2014) 8
9 Mainstreaming climate action into ESIF Preliminary results from ongoing analysis
10 The common methodology The common methodology is a key instrument for calculating, tracking and monitoring climate-related expenditure under the ESIF The fact sheet provides an overview of the key principles and application of the common methodology, including references to legal basis. Expenditures have been marked in one of the three categories: climate related only (100%), significantly climate related (40%), and not climate related (0%). Tracking climate change is based on dedicated intervention fields (IF) and focus areas (FA) that contribute positively to adaptation (either 40% or 100% - "climate markers") Fund Adaptation Adaptation and/or mitigation ERDF/CF incl. ETC IF087 and IF100 IF021, IF065, IF085 and IF086 ESF - - EAFRD FA 3b, 5a, and 6b FA 4a, 4b and 4c. EMFF - - Tracking adaptation expenditure: pure adaptation IFs, FAs and adaptation supportive IFs, FAs diture_en.pdf
11 Million EUR Adaptation change adaptation and risk prevention 7.9 billion EUR, selected by 20 Member States Protecting 13.3 million people from floods and 11.8 million people from forest fires BE BG CZ DE EE EL ES FR HR IT CY LV LT HU PL PT RO SI SK UK TC TC: territorial cooperation
12 Adaptation What will be funded to support adapation? From preparing strategies to climate-proofing infrastructure; Flood prevention, water scarcity & droughts, disaster risk resillience; Reinforcing institutional capacities, also across borders; Adapation supportive actions: biodiversity, research and innovation with focus on low-carbon economy and climate resillience, water management; Integrated actions for sustainable urban development (5% of the ERDF) Horizontal integration Sustainable development principle includes climate change o "Focus on ecosystem-based approaches; e.g. green infrastructure Enabling conditions Integrated territorial development Precondition for funding: risk assessments (" taking into account, where appropriate, national climate change adaptation strategies") Capacity-building and technical assistance
13 Programme examples supporting adaptation in BSR Lithuania: National OP : The OP seeks to adapt to flooding, hurricanes, heats, draughts and heavy rains by developing the warning and rescue systems, wastewater (surface) management systems, as well as investments in green infrastructure in urban areas. Risk management and prevention of the coastal erosion and flooding will be assured by Coastal Zone Management plans and special measures developed for the Baltic Sea and the rivers. Poland: Infrastructure and Environment OP: Focus on tackling climate change and extreme weather events in the water sector. Support to prevention of natural disasters (mainly floods) through the development of appropriate strategies and early warning systems, including support to rescue units. Insufficient water resources aggravated by droughts and proper water waste management is another area of support. Interreg V-A The North Programme (Sweden- Finland-Norway): Focus on protecting the region's pristine nature areas and habitats that are vulnerable to climate change. The programme seeks to restore biodiversity, protect soil and promote ecosystem services, including through Natura 2000, and green infrastructure. Mainstreaming reports: udget/documentation_en.htm Fact sheets summarising the mainstreaming results soon to come: ns/index_en.htm#mainstreaming
14 Change and Major Projects in the programming period resilient infrastructure Introduction (major projects, climate change, ) Project cycle, integrating climate change Adaptation: vulnerability and risk assessment Mitigation: EIB Carbon footprint methodology + carbon shadow price in CBA Information on a major project (climate aspects) Legal and other references and explanatory footnotes
15 Key conclusions ESIF contributes significantly to achieving the political objective of 20% of the EU budget to be dedicated for climate; All funds provide support for climate action. The Cohesion Policy funds (ERDF and CF) provide most explicit and direct support; Substantial support is dedicated to adaptation. A scope to further increase the adaptation profile in the next MFF; Common methodology (climate markers) is a good achievement with the potential for further development in the next MFF; Many good climate projects will be funded; Ensuring climate resilience in Major Projects is a good start to address infrastructure resilience Europe wide; Significant amount is planned good use of all available support is strongly encouraged;
16 Thank you! Visit DG online: ec.europa.eu/ clima/ facebook.com/ EU twitter.com/ EU pinterest.com/ EU youtube.com/ EU
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